TLI4801
ASSIGNMENT 1 (SEMESTER 1)..
DUE DATE: 14 March 2025..
PREVIEW:
(a) Would you advise ADB Cables to make use of the Provisional Sentence Procedure to recover the
amount owing? Provide reason(s) for your answer. (6 marks)
ANSWER:
Yes, I would advise ADB Cables (Pty) Ltd to make use of the Provisional Sentence Procedure to recover
the outstanding amount of R1.2M owed by Brown Electrical (Pty) Ltd. There are several reasons why
this would be an appropriate course of action:
1. Clear and Uncontested Debt: The debt owed by Brown Electrical is both liquid (i.e., a specific and
fixed amount) and due, which makes it an ideal candidate for the Provisional Sentence procedure.
This procedure is specifically designed for cases where the debt is clear and unchallenged, as is the
case here, where the debtor has already acknowledged the debt through the Acknowledgment of
Debt (AOD).
2. Acknowledgment of Debt (AOD): Brown Electrical's written acknowledgment of the debt through
the AOD is crucial. It serves as evidence that the debt exists and that Brown Electrical recognizes its
obligation to pay. This acknowledgment strengthens the case for Provisional Sentence since the
procedure is typically used in instances where there is an admission of debt.
3. Expedited Relief: The Provisional Sentence procedure is a summary process that allows the Plaintiff
to obtain a provisional order of payment without the need for a full trial. This could result in a faster
recovery of the outstanding debt, which is especially important given the financial position of the
creditor.
4. Minimizing Delays: By pursuing Provisional Sentence, ADB Cables can avoid the delays associated
with more complex litigation. This procedure would expedite the recovery process, leading to a
Disclaimer:
Thequicker
materialsresolution andintended
provided are ensuring
forthat the Defendant
educational is under pressure
and informational purposesto settle
only. the
They debt.not be
should
submitted as original work or used in violation of any academic institution's policies. The buyer is solely
5. No Material Dispute: The Defendant has not disputed the debt and has even entered into an AOD.
responsible for how the materials are used.
As long as the Defendant does not raise any substantial defenses, such as fraud or duress regarding
the AOD, the Provisional Sentence procedure remains a practical and efficient solution.
ASSIGNMENT 1 (SEMESTER 1)..
DUE DATE: 14 March 2025..
PREVIEW:
(a) Would you advise ADB Cables to make use of the Provisional Sentence Procedure to recover the
amount owing? Provide reason(s) for your answer. (6 marks)
ANSWER:
Yes, I would advise ADB Cables (Pty) Ltd to make use of the Provisional Sentence Procedure to recover
the outstanding amount of R1.2M owed by Brown Electrical (Pty) Ltd. There are several reasons why
this would be an appropriate course of action:
1. Clear and Uncontested Debt: The debt owed by Brown Electrical is both liquid (i.e., a specific and
fixed amount) and due, which makes it an ideal candidate for the Provisional Sentence procedure.
This procedure is specifically designed for cases where the debt is clear and unchallenged, as is the
case here, where the debtor has already acknowledged the debt through the Acknowledgment of
Debt (AOD).
2. Acknowledgment of Debt (AOD): Brown Electrical's written acknowledgment of the debt through
the AOD is crucial. It serves as evidence that the debt exists and that Brown Electrical recognizes its
obligation to pay. This acknowledgment strengthens the case for Provisional Sentence since the
procedure is typically used in instances where there is an admission of debt.
3. Expedited Relief: The Provisional Sentence procedure is a summary process that allows the Plaintiff
to obtain a provisional order of payment without the need for a full trial. This could result in a faster
recovery of the outstanding debt, which is especially important given the financial position of the
creditor.
4. Minimizing Delays: By pursuing Provisional Sentence, ADB Cables can avoid the delays associated
with more complex litigation. This procedure would expedite the recovery process, leading to a
Disclaimer:
Thequicker
materialsresolution andintended
provided are ensuring
forthat the Defendant
educational is under pressure
and informational purposesto settle
only. the
They debt.not be
should
submitted as original work or used in violation of any academic institution's policies. The buyer is solely
5. No Material Dispute: The Defendant has not disputed the debt and has even entered into an AOD.
responsible for how the materials are used.
As long as the Defendant does not raise any substantial defenses, such as fraud or duress regarding
the AOD, the Provisional Sentence procedure remains a practical and efficient solution.